AirAsia interested in minority stake in Indian airline

AirAsia CEO Tony Fernandes stated that "without a doubt" the carrier is interested in acquiring a minority stake in an Indian airline but stated improving airport infrastructure would be vital for attracting foreign parties into the Indian aviation sector (Business Standard, 03-Apr-2011). The comments were made after India's Civil Aviation Ministry earlier this month stated it was considering allowing foreign airlines to obtain minority stakes in domestic carriers.

AirAsia: "You need better airport infrastructure for us to come in. It's crazy that it (aviation sector) isn't open already. Indian banks are open, Indian mobile phone (sector) is open, roads are operated by other people, airports are owned, so why not airlines? It's like talking to the land of the living dead. The trouble is growth is so good in India that no one wants to do anything about it. But it will impact (the sector)" Tony Fernandes, CEO. Source: Business Standard, 03-Apr-2011.